• 7-Eleven owner rejects $38bn buyout offer saying it undervalued the company
• They also highlighted potential challenges with US competition laws
• Remains open to further negotiations

7-Eleven owner rejects $38bn buyout offer

The Japanese parent company of 7-Eleven, Seven & i Holdings, has turned down a $38 billion takeover offer from Canadian firm Alimentation Couche-Tard (ACT). Seven & i Holdings criticised the bid, saying it “grossly” undervalued the company and faced significant regulatory hurdles. Despite rejecting the offer, Seven & i remains open to further negotiations.

In a response letter, Seven & i Holdings, led by the special committee chair Stephen Dacus, argued that the initial bid of $14.86 per share undervalued the company and was opportunistic, particularly given the current weak Japanese yen. They also highlighted potential challenges with US competition laws.

The proposed acquisition would have made ACT, which operates around 17,000 stores globally, a major player with over 20,000 locations. If successful, it would have been the largest foreign takeover of a Japanese company and created a global convenience store giant with 100,000 stores.